SIX people including a top Hamas terrorist have been killed during an Israeli undercover operation in the Gaza Strip, Palestinian officials claim.

A mission by Israeli special forces late on Sunday night has led to a clash and losses on both sides - including the death of Hamas commander Nourreddin Mohamed Salama Barake.

Initial reports on Twitter claimed the elite group went into the Gaze Strip in a bid to kidnap the key terrorist after donning women's clothing.

Air strikes provided cover for the troops to escape back to Israel by car Hamas claim and the Israeli military has confirmed an "exchange of fire" took place this evening.

Meanwhile The Palestinian Health Ministry has said five militants were killed by Israeli fire in Gaza fighting.

The violence prompted Prime Minister Benjamin Netanyahu cut short a trip to Paris, where he was gathering with world leaders for a World War One commemoration.

Barake was believed to be closely involved in Hamas' tunnel program and also served as the commander of the Khan Younis - an area in the southern Gaza Stip - regional battalion

Despite initial reports it is not yet clear what sparked the fighting or how the commander died this evening.

In a statement Qassam Bridges - Hamas' armed wing - said the incident began when assailants in a passing car opened fire on a group of its armed men, killing one of its commanders.

They added that they gave chase as the car sped back towards the boarder with Israel.

During the chase Israeli aircraft fired more than 40 missiles into the area, according to witnesses.

The Israeli military said in a brief statement that: "During IDF (Israel Defense Forces) operational activity in the Gaza Strip, an exchange of fire evolved."

The return to the tactic of targeting individual Hamas commanders could see tension rise significantly along the boarder.

Violence has flared frequently on the frontier since Palestinians began weekly protests on March 30. Egypt, Qatar and the United Nations have been trying to broker a long-term ceasefire.

More than 200 Palestinians in Gaza have been killed by Israeli forces since the end of March - the majority at the weekly protests along the boarder.

The fighting comes a week after the two countries appeared to be moving towards an unofficial cease fire, with Israel allowing Qatar to deliver $15million to Hamas.